Warner Bros. Discovery shareholders have approved the sale to Paramount Global and Skydance Media, clearing a major hurdle to a US$110 billion merger that could reshape the global entertainment industry. However, not everyone is happy with this merger.The deal, described as a “responsible acquisition,” ends a takeover battle that will create a media giant that includes major assets including CNN, CBS, HBO and Nickelodeon. The combined entity will also host some of Hollywood’s biggest franchises, such as Harry Potter, Game of Thrones, DC Universe, Mission: Impossible and SpongeBob SquarePants.Under the deal, AFP reports that Paramount will pay $31 per share in cash to Warner Bros. For all Discovery shares, which represents an equity value of USD 81 billion. Including the debt assumed by Paramount, the total transaction value reaches USD 110 billion.However, the merger has generated a lot of opposition in the entertainment industry. More high-profile figures, including Robert De Niro, Sofia Coppola and Holly Hunter, have signed an open letter criticizing the deal. The letter has garnered 4,194 signatories since its release on April 13, including more than 75 Oscar winners and nominees, according to organizers.The letter warns: “The result will be fewer opportunities for creators, fewer jobs across the production ecosystem, higher costs and fewer choices for audiences in the United States and around the world. Such a merger would reduce the number of major U.S. film studios to four.”the actor Mark Ruffalowho has been very vocal about the merger, wrote on his handle: “HBO was the only streamer willing to do ‘I Know This Much Is True’. Very difficult material. We won an Emmy and a Golden Globe for it. Taking out even one streaming service, or combining the two, would have made it impossible to do ‘I Know This Much Is True.'”And he added: “Two guys, both with a very narrow understanding of the world, close friends with the most anti-First Amendment, anti-press president in history, censoring science, climate change, anything to do with equality, and are now in the process of killing American citizens, waging a disastrous illegal war, while owning the newest and largest concentration in the history of the world. This merger would never have happened without Ellison’s friendship and the support of his beloved leader. It’s normal to play, starting a 78 billion company is not going to be decided by many people who win or not.Reacting to his message, actor and director Ben Stiller tweeted, “There are already very few buyers. Original ideas and non-legacy IP are very difficult to make by a studio or a major network. Taking away options means less opportunity for new voices and different perspectives that we all get to see. It’s already been a challenge for years, and the merger will only make it worse.”New York City Mayor Zohran Mamdani also tweeted: “This merger is a triple whammy for New Yorkers. Thousands of jobs are at risk here in the city. Bills are rising as competition disappears. And two of America’s most powerful media companies under one roof, deciding what you see and what you hear. Today, Warner Bros. shareholders must vote on whether this New York shareholder: This New York shareholder should be suspended.” this merger.”Reacting to his post, the actor Zachary Levi wrote: “Mr. Mayor, where was all the worry and anger when Netflix was going to buy the WB? I don’t remember anything being said about that. Did I miss that message?”However, Ruffalo defended the mayor of New York, saying: “This is a disaster for consumers and the re-emerging NYS film industry. Thank you @mayormamdan for shedding light on this issue. Now it’s up to @RobBonta @TrishJames and other state AGs to encourage and protect American jobs, artists and consumers #Block.”Despite shareholder approval, the deal remains subject to regulatory scrutiny in the United States and Europe. It could also face legal challenges, including potential lawsuits from state attorneys general seeking to block the merger.
